Trad IRA rollover to Roth with gains

[nahartl]

After a $6000 traditional IRA contribution in 2019 and another in 2020, I rolled the balance into a Roth. The balance included $7.98 gain. I am fine on my 8606's with $6000 each year with the **bleep** totaling $12000 for 2020. My 1099-R reflects the $12007.98 as taxable, with a code 02 in box 7. Turbo TAx has resulted in the total amount as non taxable due to the rollover. This is all fine. However, I understand the gains should be taxable. This does not appear to be happening nor can I figure out if I should be doing something different. I have tried following several similar responses about rollovers, but none include an amount for gains incurred between investing and rolling the money. Any direction or assistance would greatly be appreciated.

[macuser_22]

The 8606 should show the earnings as taxable.  Review the 8606 lines 1-15 for an error in your entries. Or the "Taxable IRA Distribution Worksheet" if there is an * next to line 15.

Your total basis shoukd be $12,000 that offsets $12,000 leaving the gains as taxable on line 18.